Flying clubs irregularities: 3 including top DGCA official suspended

March 02, 2012 08:03 pm | Updated 08:03 pm IST - NEW DELHI

A top Directorate General of Civil Aviation (DGCA) official and two others were on Friday placed under suspension after a Central Vigilance Commission (CVC) report charged them with showing undue favours to 28 flying clubs.

Taking note of the CVC report of January 27 with regard to irregularities allegedly committed by the officials of DGCA and Airports Authority of India (AAI) in giving benefits to 28 flying clubs across the country, Civil Aviation Minister Ajit Singh directed the AAI to immediately recover the outstanding dues of Rs. 190 crores from various flying clubs by March 31, official sources said.

While ordering the suspension of A.K. Saran, the then Deputy Director General, DGCA and presently Joint Director General, Parveen Kumar, the then Section Officer and D. S. Sada, the then Assistant in DGCA, the Minister said that major penalty proceedings should also be initiated against the three officials immediately. The Minister directed that major penalty proceedings be also initiated against Deepak Raina, the then in charge of the department who has since retired, if permitted under conduct rules, the sources said.

Official sources said that an FIR was also likely to be lodged against the three officials of the aviation regulator, Mr. Raina, and all 28 flying clubs among others named in the report, for criminal conspiracy and causing wrongful pecuniary loss of Rs. 190 crores to the government.

The sources said that responsibility of the AAI officers may also be fixed for failing to recover the outstanding dues against the flying clubs and for not ascertaining the eligibility of M/s Madhya Pradesh Flying Club.

Official sources said that Mr. Singh reviewed the case relating to granting of concessions to the flying schools in 2007 that was probed by the CVC.

Under the Ministry rules, the flying schools are supposed to be registered as 'education societies' and run on 'no profit, no loss' basis. Only on that basis, these flying schools could avail of concessions by paying nominal charges to the AAI.

However, the CVC probe found that all the 28 flying schools did not satisfy these criteria and only four of them were operating on a 'no profit, no loss' basis, the sources said.

The sources said the minister accepted some of the recommendations made by the CVC in its report sent earlier this week.

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